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The dollar is softer on the day now as we are seeing major currencies climb higher against the greenback. This comes as equities are gaining some ground, as some of the post-Jackson Hole moves are locking up and turning the other way. EUR/USD just a hit a high of 1.0030 after hanging around parity with buyers now taking a look above its 200-hour moving average:
Keep above the near-term level and buyers will establish a more bullish bias. The high from last Friday at 1.0090 will be one to watch before any potential extension higher in the pair next.
That said, I will maintain the path of least resistance is still for a move lower and this could present another opportunity for shorts to come in. The key risk event this week though will of course be the US jobs report on Friday.
Elsewhere, GBP/USD is also up 0.3% to 1.1740 but is still keeping below the broken support from the 14 July low at 1.1759. That and the 1.1800 handle will provide sellers with some buffer to work with in pinning the pair down for now:
Meanwhile, USD/CAD has also slipped back below 1.3000 to 1.2985 and AUD/USD is up 0.4% to 0.6930 as risk tones improve to start the session. S&P 500 futures are now up 0.7% and that is translating to firmer gains in European indices as well.